What are the options?
LCR allows you to choose the network option (or a combination) that’s best for your business.
You can choose to:
- Process all eligible debit transactions through the Mastercard/Visa network – this is the default option if you choose not to activate LCR
- Process all eligible debit transactions through the eftpos network
- For EFTPOS terminals only - Set a threshold to route eligible debit transactions based on value
This third option gives you the flexibility to set a transaction threshold limit on your EFTPOS terminal
- Transactions up to and including your limit will be processed using your chosen primary network (either Visa/Mastercard or eftpos)
- Transactions above your threshold limit will be processed using your chosen secondary network (either Visa/Mastercard or eftpos)
When does Least Cost Routing apply?
LCR only applies to contactless MNDC transactions.
If you're using an EFTPOS terminal, LCR won't apply if a customer inserts or swipes their card. It also won't apply for payments using digital wallets or smartphones.
What’s the benefit to my business?
LCR provides you with greater flexibility and choice in how contactless MNDC transactions are processed, which can help to uncover the most cost-effective option. Every business is different, your potential savings would depend on your transaction volumes, card mix and turnover.
Our Merchant Support Team can help you understand your current fees and how enabling LCR can benefit your business.
Learn more about Least Cost Routing and how it works.